Bristow takes out loans
The Bristow Group has entered into two 13-year ‘secured equipment financings’ with UK bank NatWest, for up to £145 million
The credit facilities are expected to fund during the first quarter of 2023. Repayments will be due in quarterly instalments, commencing March 31 2023, for a period of 13 years, with ten search and rescue helicopters being used to secure Bristow’s obligations towards the debt.
The credit facilities will bear interest at a rate equal to the Sterling Overnight Index Average, plus 2.75 per cent, per annum.
The loans will be used to ‘refinance the indebtedness of previous equipment financing facilities’ taken out with Lombard North Central, and by extension, ‘refinance the aircraft financed thereby’. Additionally the loans will provide Bristow with additional support to deliver contracts with the UK Department for Transport (DfT) and Maritime and Coastguard Agency (MCA).
The company stated that: “The proceeds from the financings will be used to refinance the indebtedness of the previous equipment financing facilities with Lombard North Central, refinance the aircraft financed thereby, and provide additional financing to support Bristow’s obligations under its contracts with the Department for Transport and the Maritime and Coastguard Agency of the United Kingdom.”
Chris Bradshaw, President and CEO of Bristow, said: “These new credit facilities increase our financial flexibility, significantly extend our debt maturities through 2036, and demonstrate our access to capital as the global leader in vertical flight solutions.”